AIG
American International Group, Inc.
Insurance - Diversified
Market Cap$41.69B
5Y Perf.+158.4%
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Stock Comparison
AIG vs PRU
Revenue, margins, valuation, and 5-year total return — side by side.
PRU
Prudential Financial, Inc.
Insurance - Life
Market Cap$34.86B
5Y Perf.+64.3%
AIG vs PRU — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | AIG | PRU |
|---|---|---|
| Industry | Insurance - Diversified | Insurance - Life |
| Market Cap | $41.69B | $34.86B |
| Revenue (TTM) | $26.65B | $61.82B |
| Net Income (TTM) | $3.16B | $3.48B |
| Gross Margin | 38.5% | 30.8% |
| Operating Margin | 15.0% | 8.2% |
| Forward P/E | 9.9x | 7.4x |
| Total Debt | $9.19B | $22.96B |
| Cash & Equiv. | $1.27B | $19.71B |
AIG vs PRU — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
AIG
PRU
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| American Internatio… (AIG) | 100 | 258.4 | +158.4% |
| Prudential Financia… (PRU) | 100 | 164.3 | +64.3% |
Price return only. Dividends and distributions are not included.
Quick Verdict: AIG vs PRU
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: AIG leads in 4 of 7 categories, making it the strongest pick for growth and revenue expansion and profitability and margin quality. Prudential Financial, Inc. is the stronger pick specifically for valuation and capital efficiency and dividend income and shareholder returns. As sector peers, any of these can serve as alternatives in the same allocation.
AIG
American International Group, Inc.
The Insurance Pick
AIG carries the broadest edge in this set and is the clearest fit for growth exposure and sleep-well-at-night.
- Rev growth -1.8%, EPS growth 62.1%, 3Y rev CAGR -3.7%
- Lower volatility, beta 0.40, Low D/E 22.3%, current ratio 0.85x
- Beta 0.40, yield 2.2%, current ratio 0.85x
Best for: growth exposure and sleep-well-at-night
PRU
Prudential Financial, Inc.
The Insurance Pick
PRU is the clearest fit if your priority is income & stability and long-term compounding.
- Dividend streak 8 yrs, beta 0.97, yield 5.5%
- 88.9% 10Y total return vs AIG's 66.2%
- Lower P/E (7.4x vs 9.9x)
Best for: income & stability and long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | AIG | -1.8% revenue growth vs PRU's -14.0% |
| Value | PRU | Lower P/E (7.4x vs 9.9x) |
| Quality / Margins | AIG | Combined ratio 0.9 vs PRU's 0.9 (lower = better underwriting) |
| Stability / Safety | AIG | Beta 0.40 vs PRU's 0.97, lower leverage |
| Dividends | PRU | 5.5% yield, 8-year raise streak, vs AIG's 2.2% |
| Momentum (1Y) | PRU | +3.7% vs AIG's -3.7% |
| Efficiency (ROA) | AIG | 1.9% ROA vs PRU's 0.6%, ROIC 5.9% vs 10.0% |
AIG vs PRU — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
AIG vs PRU — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLAIGLAGGINGPRU
PRUPrudential Financial,…
2leads
AIGAmerican Internationa…
4leads
6 Total Categories
CATEGORYLEADERvs PRUMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
AIG4/6
Valuation MetricsMultiples, price ratios, and targets
PRU5/6
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
AIG5/9
Total Returns1Y, 3Y, 5Y total returns with dividends
AIG4/6
Risk & VolatilityBeta, volatility, and downside exposure
AIG2/2
Analyst OutlookRatings, price targets, and dividends
PRU2/2
Income & Cash Flow (Last 12 Months)
AIG leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
PRU is the larger business by revenue, generating $61.8B annually — 2.3x AIG's $26.6B. AIG is the more profitable business, keeping 11.9% of every revenue dollar as net income compared to PRU's 5.6%. On growth, PRU holds the edge at +6.3% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | AIGAmerican Internat… | PRUPrudential Financ… |
|---|---|---|
| RevenueTrailing 12 months | $26.6B | $61.8B |
| EBITDAEarnings before interest/tax | $6.6B | $5.4B |
| Net IncomeAfter-tax profit | $3.2B | $3.5B |
| Free Cash FlowCash after capex | $3.5B | $9.8B |
| Gross MarginGross profit ÷ Revenue | +38.5% | +30.8% |
| Operating MarginEBIT ÷ Revenue | +15.0% | +8.2% |
| Net MarginNet income ÷ Revenue | +11.9% | +5.6% |
| FCF MarginFCF ÷ Revenue | +13.2% | +15.8% |
| Rev. Growth (YoY)Latest quarter vs prior year | -1.8% | +6.3% |
| EPS Growth (YoY)Latest quarter vs prior year | +81.9% | -12.8% |
AIG leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
PRU leads this category, winning 5 of 6 comparable metrics.
Valuation Metrics
At 9.8x trailing earnings, PRU trades at a 32% valuation discount to AIG's 14.3x P/E. On an enterprise value basis, AIG's 6.8x EV/EBITDA is more attractive than PRU's 7.8x.
| Metric | AIGAmerican Internat… | PRUPrudential Financ… |
|---|---|---|
| Market CapShares × price | $41.7B | $34.9B |
| Enterprise ValueMkt cap + debt − cash | $49.6B | $38.1B |
| Trailing P/EPrice ÷ TTM EPS | 14.31x | 9.80x |
| Forward P/EPrice ÷ next-FY EPS est. | 9.92x | 7.40x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 6.76x | 7.76x |
| Price / SalesMarket cap ÷ Revenue | 1.56x | 0.57x |
| Price / BookPrice ÷ Book value/share | 1.08x | 0.98x |
| Price / FCFMarket cap ÷ FCF | 12.58x | 5.56x |
PRU leads this category, winning 5 of 6 comparable metrics.
Profitability & Efficiency
AIG leads this category, winning 5 of 9 comparable metrics.
Profitability & Efficiency
PRU delivers a 10.3% return on equity — every $100 of shareholder capital generates $10 in annual profit, vs $8 for AIG. AIG carries lower financial leverage with a 0.22x debt-to-equity ratio, signaling a more conservative balance sheet compared to PRU's 0.65x. On the Piotroski fundamental quality scale (0–9), PRU scores 7/9 vs AIG's 6/9, reflecting strong financial health.
| Metric | AIGAmerican Internat… | PRUPrudential Financ… |
|---|---|---|
| ROE (TTM)Return on equity | +7.7% | +10.3% |
| ROA (TTM)Return on assets | +1.9% | +0.6% |
| ROICReturn on invested capital | +5.9% | +10.0% |
| ROCEReturn on capital employed | +6.5% | +0.9% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 7 |
| Debt / EquityFinancial leverage | 0.22x | 0.65x |
| Net DebtTotal debt minus cash | $7.9B | $3.2B |
| Cash & Equiv.Liquid assets | $1.3B | $19.7B |
| Total DebtShort + long-term debt | $9.2B | $23.0B |
| Interest CoverageEBIT ÷ Interest expense | 10.67x | 4.76x |
AIG leads this category, winning 5 of 9 comparable metrics.
Total Returns (Dividends Reinvested)
AIG leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in AIG five years ago would be worth $16,960 today (with dividends reinvested), compared to $11,875 for PRU. Over the past 12 months, PRU leads with a +3.7% total return vs AIG's -3.7%. The 3-year compound annual growth rate (CAGR) favors AIG at 15.4% vs PRU's 12.0% — a key indicator of consistent wealth creation.
| Metric | AIGAmerican Internat… | PRUPrudential Financ… |
|---|---|---|
| YTD ReturnYear-to-date | -7.3% | -10.8% |
| 1-Year ReturnPast 12 months | -3.7% | +3.7% |
| 3-Year ReturnCumulative with dividends | +53.5% | +40.4% |
| 5-Year ReturnCumulative with dividends | +69.6% | +18.7% |
| 10-Year ReturnCumulative with dividends | +66.2% | +88.9% |
| CAGR (3Y)Annualised 3-year return | +15.4% | +12.0% |
AIG leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
AIG leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
AIG is the less volatile stock with a 0.40 beta — it tends to amplify market swings less than PRU's 0.97 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. AIG currently trades 88.8% from its 52-week high vs PRU's 83.6% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | AIGAmerican Internat… | PRUPrudential Financ… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.40x | 0.97x |
| 52-Week HighHighest price in past year | $87.46 | $119.76 |
| 52-Week LowLowest price in past year | $71.25 | $91.89 |
| % of 52W HighCurrent price vs 52-week peak | +88.8% | +83.6% |
| RSI (14)Momentum oscillator 0–100 | 57.6 | 58.5 |
| Avg Volume (50D)Average daily shares traded | 4.1M | 2.3M |
AIG leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
PRU leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates AIG as "Hold" and PRU as "Hold". Consensus price targets imply 10.2% upside for AIG (target: $86) vs 4.0% for PRU (target: $104). For income investors, PRU offers the higher dividend yield at 5.50% vs AIG's 2.20%.
| Metric | AIGAmerican Internat… | PRUPrudential Financ… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Hold |
| Price TargetConsensus 12-month target | $85.63 | $104.13 |
| # AnalystsCovering analysts | 41 | 37 |
| Dividend YieldAnnual dividend ÷ price | +2.2% | +5.5% |
| Dividend StreakConsecutive years of raises | 3 | 8 |
| Dividend / ShareAnnual DPS | $1.71 | $5.50 |
| Buyback YieldShare repurchases ÷ mkt cap | +14.0% | +2.9% |
PRU leads this category, winning 2 of 2 comparable metrics.
Key Takeaway
AIG leads in 4 of 6 categories (Income & Cash Flow, Profitability & Efficiency). PRU leads in 2 (Valuation Metrics, Analyst Outlook).
Best OverallAmerican International Grou… (AIG)Leads 4 of 6 categories
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AIG vs PRU: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is AIG or PRU a better buy right now?
For growth investors, American International Group, Inc.
(AIG) is the stronger pick with -1. 8% revenue growth year-over-year, versus -14. 0% for Prudential Financial, Inc. (PRU). Prudential Financial, Inc. (PRU) offers the better valuation at 9. 8x trailing P/E (7. 4x forward), making it the more compelling value choice. Analysts rate American International Group, Inc. (AIG) a "Hold" — based on 41 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — AIG or PRU?
On trailing P/E, Prudential Financial, Inc.
(PRU) is the cheapest at 9. 8x versus American International Group, Inc. at 14. 3x. On forward P/E, Prudential Financial, Inc. is actually cheaper at 7. 4x.
03Which is the better long-term investment — AIG or PRU?
Over the past 5 years, American International Group, Inc.
(AIG) delivered a total return of +69. 6%, compared to +18. 7% for Prudential Financial, Inc. (PRU). Over 10 years, the gap is even starker: PRU returned +88. 9% versus AIG's +66. 2%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — AIG or PRU?
By beta (market sensitivity over 5 years), American International Group, Inc.
(AIG) is the lower-risk stock at 0. 40β versus Prudential Financial, Inc. 's 0. 97β — meaning PRU is approximately 143% more volatile than AIG relative to the S&P 500. On balance sheet safety, American International Group, Inc. (AIG) carries a lower debt/equity ratio of 22% versus 65% for Prudential Financial, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — AIG or PRU?
By revenue growth (latest reported year), American International Group, Inc.
(AIG) is pulling ahead at -1. 8% versus -14. 0% for Prudential Financial, Inc. (PRU). On earnings-per-share growth, the picture is similar: American International Group, Inc. grew EPS 62. 1% year-over-year, compared to 36. 3% for Prudential Financial, Inc.. Over a 3-year CAGR, PRU leads at 2. 2% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — AIG or PRU?
American International Group, Inc.
(AIG) is the more profitable company, earning 11. 6% net margin versus 5. 9% for Prudential Financial, Inc. — meaning it keeps 11. 6% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: AIG leads at 14. 5% versus 7. 9% for PRU. At the gross margin level — before operating expenses — PRU leads at 42. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is AIG or PRU more undervalued right now?
On forward earnings alone, Prudential Financial, Inc.
(PRU) trades at 7. 4x forward P/E versus 9. 9x for American International Group, Inc. — 2. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for AIG: 10. 2% to $85. 63.
08Which pays a better dividend — AIG or PRU?
All stocks in this comparison pay dividends.
Prudential Financial, Inc. (PRU) offers the highest yield at 5. 5%, versus 2. 2% for American International Group, Inc. (AIG).
09Is AIG or PRU better for a retirement portfolio?
For long-horizon retirement investors, American International Group, Inc.
(AIG) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 40), 2. 2% yield). Both have compounded well over 10 years (AIG: +66. 2%, PRU: +88. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between AIG and PRU?
Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(AIG: -1.8% · PRU: 6.3%)Net Margin>
%
(AIG: 11.9% · PRU: 5.6%)P/E Ratio<
x
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